Hotel could bring extra $1.6 million to Menlo Park

A proposed luxury hotel near Interstate 280 could double the city's income from hotel taxes, but some wonder whether that's enough to outweigh concerns about the hotel-office proposal.

Stanford University is proposing a 125-room hotel and 100,000 square feet of office space on land it owns on Sand Hill Road. Hotel guests paying an average of $385 per night would bring Menlo Park an extra $1.1 million a year in hotel taxes when the hotel opens in 2008 — and up to $1.6 million by 2011 when it's fully operational, according to a CB Richard Ellis study the City Council recieves tonight.

In total, the project would bring an estimated $1.94 million a year to Menlo Park's general fund and contribute more than $460,000 in property taxes to local school districts. Many in the city see that is good news in light of this year's $2.9 million budget deficit.

“It looks very nice, from a revenue standpoint,” Councilmember Lee Duboc said. “We've seen a decline in tax revenue since 2002.”

Conley Consulting Group offered a critique of the CB Richard Ellis study, arguing it assumed operating costs — such as police and fire protection — would be zero. CCG found that the project's revenues would exceed costs nonetheless.

Councilmember Andrew Cohen supports the hotel but not the office space, and suggested the land could be better used to resolve Menlo Park's shortage of sports fields. Many residents along Sand Hill Road are concerned about the increase in traffic that could come if project is built, according to project neighbor Charlotte Meisel.

The Menlo Park City Council will discuss the study tonight at 7 at City Hall, 701 Laurel St.

bwinegarner@examiner.comBay Area NewsLocalPeninsula

If you find our journalism valuable and relevant, please consider joining our Examiner membership program.
Find out more at www.sfexaminer.com/join/

Just Posted

San Francisco Park Rangers have seen their budget and staffing levels increase significantly since 2014. (Kevin N. Hume/S.F. Examiner)
Citations for being in SF’s public parks after midnight soar

Data shows disproportionate impact on Black residents

Parents and students line up socially distanced before the first day of in-person learning at Bret Harte Elementary School on Monday, April 12, 2021. (Kevin N. Hume/S.F. Examiner)
‘It’s a beautiful sight’: The first students return to the classroom

San Francisco’s youngest public school students stepped into classrooms for in-person learning… Continue reading

File
Latest Breed nominee for Police Commission moves forward

Immigration attorney Jim Byrne clears Board of Supervisors committee

A rally at Golden Gate Park on Sunday April 11 drew a large crowd in support of calls to keep JFK Drive closed to traffic. (Emily Huston/Special to the S.F. Examiner)
Hundreds rally for “JFK Thrive,” not JFK Drive

By Emily Huston More than two hundred gathered on a warm Sunday… Continue reading

San Francisco Giants pitcher Anthony DeSclafani (26) starts against the Colorado Rockies at Oracle Park on April 11, 2021 in San Francisco, California. (Photography by Chris Victorio | Special to the S.F. Examiner).
Giants finish sweep of Rockies behind DeSclafani’s scoreless outing

Even with fans back at Oracle Park, San Francisco Giants pitchers have… Continue reading

Most Read